Electricity tariffs to increase in Uttarakhand
Uttarakhand Electricity Regulatory Commission has decided to increase the tariff of the hydro power project which produces electricity. Operation and maintenance charges have been increased by 18 paise per unit. Wanala Power Project has also been increased by 56 paisa per unit.
The tariff was increased to compensate the losses due to the natural disaster which struck the 15 MW Wanala Power Plant, even though every company insures its project. The Commission fixes the total tariff by adding the expenses incurred in the insurance premium to the plant’s total expenditure. Even after this, the decision to compensate the loss by increasing the tariff by 56 paise is raising many questions. It will have direct impact on the general public.
Crores of fines will passed onto the public
The burden of fines of 20.5 million rupees which was waived off and the disputed Rs 5 crore fine is also expected to fall on the general public. The impact of these decisions is not going to fall on UPCL. Because UPCL will also add these to their expenses, stating them as part of their balance sheets.
